Financial giants allow their customers to trade Bitcoin, but they cannot withdraw it for self-management.
Fidelity Investments clients can now buy Bitcoin through their broker. The Fidelity Crypto platform, which was first put on the waiting list in November 2022, is open to the public as of yesterday.
Customers can buy and sell bitcoins, but cannot transfer bitcoins to self-custody wallets where users manage their private keys. During the start of the waiting list, Mention This feature will be available later, but no further details or roadmap have been provided.
When trading, you will be charged a 1% spread, not a “commission”. Definition of fidelity As “the difference between the price at which you buy or sell crypto on your Fidelity Crypto account and the price at which Fidelity Digital Assets processes your order.” This spread is displayed on the client’s fill price.
Transactions are available only to U.S. residents over the age of 18 in eligible states.
Fidelity’s foray into cryptocurrency is not without criticism, along with a group of senators. by letter To financial companies:
“Fidelity Investments has chosen to expand beyond traditional finance and delve into the highly volatile and increasingly risky digital asset market.”
But that doesn’t seem to stop Fidelity.
Public introduction of their services may be welcomed, but there needs to be a particular focus on self-management, especially in times like the current banking crisis.To very large institutions similar to Fidelity trust led to the fiasco seen last week.
As such, Fidelity is often viewed as a trustworthy institution, but you should still be aware of the following: Trusted third parties are security holesand the only true way to use Bitcoin sovereignly is to keep your own private key.